about right to buy discount

nivlac_2

If I buy my council house a get a large reduction,
the only thing is I want to buy it to move out of the area but there’s a restriction if I sell the house in the 1st year I have to pay back all the discount then it reduces each year up until year 5 when I don’t have to pay any of the discount back, can I do anything to not pay it back or reduces how much I have to pay back, can I rent the property out? If I do improvements that make the house worth more is this considered when I do sell it at any point? Thanks,

theartfullodger

Discount these days is much less than when the scheme started. What did the council tell you when you asked them the questions?

Why do you think we should subsidize you when you want to buy this property?

Alias_Omega

You can let the house, your cant get out of the discount, its in the deeds.

Running_Horse

I predict this discussion will go really well.

seven-day-weekend

If you don't want to pay the discount back, the only way is to wait the five years before selling.

Any improvements you make will be counted in the valuation when you sell it on the open market, but bear in mind not all improvements add value.

Soot2006

nivlac wrote: »

If I buy my council house a get a large reduction,
the only thing is I want to buy it to move out of the area but there’s a restriction if I sell the house in the 1st year I have to pay back all the discount then it reduces each year up until year 5 when I don’t have to pay any of the discount back, can I do anything to not pay it back or reduces how much I have to pay back, can I rent the property out? If I do improvements that make the house worth more is this considered when I do sell it at any point? Thanks,

Why would you buy it if you didn't want to live in it?
You need to own it for 5 years to "get out" of paying back the discount. In this time you might have to pay for huge repairs, the housing market in your area might fell even more and your £10,000 refurbishments might end up not adding any value to the property. Your tenants might !!!!!! off without paying ... or worse, stay without paying ...

OR, of course, you might make a few thousand pounds. But there are less stressful ways of making £20,000 ..

. I recommend robbing a bank.

nivlac_2

I have owned houses before but did not expect to end up in this situation; I know the costs of owning a property! but don’t know the clauses of buying a council house, I would not have to spend much on the the house to turn it from a 2 bed to a 3 bed 2k total max but if I do this will the ex council want full market value for a original 2 bed or the 3 bed I have payed to change it to???

nivlac_2

and just to say, we could exchange as a concil tennant to what another area we dont want to be in??? or we can buy then sell and be in an area we do want to be in!!!! thats why we want to buy and thats why we wanted to know about renting the place out

ceridwen

Running_Horse wrote: »

I predict this discussion will go really well.

Some things are very predictable.

I've just restricted myself to knowing there IS some useful advice I could give - but I'm not going to (bearing in mind that I read the size of the Council house waiting list the other day - and its LARGE).

seven-day-weekend

nivlac wrote: »

I have owned houses before but did not expect to end up in this situation; I know the costs of owning a property! but don’t know the clauses of buying a council house, I would not have to spend much on the the house to turn it from a 2 bed to a 3 bed 2k total max but if I do this will the ex council want full market value for a original 2 bed or the 3 bed I have payed to change it to???

What do you mean by this? The Council won't buy it from you, will they? AFAIK you will have to sell it on the open market and it will have the current market valuation.

Soot2006

seven-day-weekend wrote: »

What do you mean by this? The Council won't buy it from you, will they? AFAIK you will have to sell it on the open market and it will have the current market valuation.

Sounds like they are asking about valuation for them to buy?

OP, did you convert the flat from 2 to 3 bedrooms as a tenant? Or is this something you're planning on doing after purchase. If the latter, then obviously building regs, etc, apply and then the valuation will indeed depend on what a) the estate agent thinks and more importantly b) the surveyor!